UWS Site Sells for $13.3M After Potential Air Rights Snafu



207 West 75th Street.
207 West 75th Street.

The seller of a 14,750-square-foot Upper West Side development site almost lost out on millions of dollars by previously selling off part of the building’s air rights,Commercial Observer has learned.

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Felipe Coello, who is part of a Mexican family fund, has sold 207 West 75th Street between Amsterdam Avenue and Broadway to Howard Neu for $13.3 million, said Timour Shafran of Citicore, who brokered the deal along with colleague Benjamin Shafran.

On Sept. 12, 2014, Mr. Coello sold about 11,000 square feet of air rights for $825,000 to a neighboring residential condominium, Majestic Towers at 215 West 75th Street, property records and Mr. Shafran indicated.

“By doing it in advance he basically negated the ability to build as-of-right on his building,” Mr. Shafran said. Thankfully, the city’s Department of Buildings grandfathered the property in.

“Without the air rights this is worth $4 [million] or $5 million,” the broker said, offering a piece of advice: “People should be very careful of what they do with their air rights.”

The existing building is 5,000 square feet and there is a 2,500-square-foot basement. Beach Bum Tanning is on the ground floor, operating on a month-to-month basis. The second floor, which once was home to the seller’s office, is vacant.

Mr. Coello bought the property for roughly $5 million in April 2011, property records indicate.